Skip to content
Subscriber Only
Business
Economics

Natural Gas Needs Bone-Chilling Winter to Avoid 1990s-Era Prices

  • Futures tumble below $2 as U.S. inventories approach record
  • Forecasters predict warmer-than-normal winter for U.S. East
Video player cover image

U.S. Natural Gas Prices Falling: Here's Why

Updated on

The average price for natural gas in the U.S. this year is now the lowest since Bill Clinton was president. And a forecast for a warm winter ahead means there’s no end in sight to the slump.

Futures tumbled below $2 per million British thermal units Tuesday amid mild weather and surging output from shale basins. Supplies on the Gulf Coast, the biggest onshore producing region, are already breaking records, and U.S. inventories are poised to reach unprecedented levels before winter temperatures boost demand.